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Starbuck And Management Essay

2124 words - 9 pages

Starbucks vs. the Four Functions of Management

When anyone mentions the word “coffee” nowadays, there is one thing that comes to mind more than any other: the little white mermaid in the green logo that almost everyone, everywhere has come to know as Starbucks. Starbucks is a worldwide company that started in Seattle at Pike Place market in 1971. Over the years utilizing an incredibly successful business model and a very aggressive expansion strategy, Starbucks has grown to a company which now has 15,756 stores in 47 countries becoming a global company who is an international superstar. Starbucks truly knows the four functions of management well. They have used planning, ...view middle of the document...

It gives plants a good amount of nitrogen which is essential to having them grow well. Starbucks uses multiple types of business strategies when they decide to open a new store either in the United States or out of our country. Depending on the situation they can use joint ventures, licenses, or company-owned operations. Starbucks took control of the coffee world with their company. They have given almost everyone in the world the chance to experience what they have to offer. While giving this opportunity to 47 different countries Howard Schultz, CEO of Starbucks, knows that they must “recognize that our success is not an entitlement, and we must continue to earn the trust and respect of customers every day.”(Starbucks 2008 – Howard Schultz)

Now more than ever, Starbucks is focused on the in-store experience for our customers.

(Bruzzo, 2008) Starbucks would like to continue to enhance the experience for the long time customers who have been served for over 10 years. Starbucks is moving forward with a new comprehensive communication agreement with AT&T. AT&T has worked with Starbucks in the past networking as far as the cash register and sales, and is now expanding that including Wi-Fi and other arenas of entertainment. The purpose is to keep the customer base that it has and to attract new customer base. Starbucks wants to be able to connect people to the worlds they live and work in, and provide that world in the comfort of a Starbuck café.

Starbucks is also working at how it picks new hires. The new CIO of Starbucks is putting much time and effort in how he goes about hiring new people. The new CIO, Stephen Gillett, sees Starbucks in the middle of a high-stakes, high-profile turnaround during what is the worst economy. Gillett is not interesting in hiring the “traditional employee” with the “traditional resume.” He is interested in those with technology and IT background so to keep up and “wow” the hurting economy. He feels hiring those from strong technology ties will help to build and explode Starbucks in this very technologically competitive business. Starbucks wants to combine the personal side of its’ customers with the technology side it can offer to become bigger and better. It is better to hire someone who has been through an economic downturn and will be a person of strength during times of uncertainty. Starbucks also realizes to hire this caliber of person; it must have something to offer to the employee. Starbucks is always looking at ways to improve what it has to offer to the employee. In that same manner, Starbucks is constantly working towards ways to make the “Starbucks” experience more than just a cup of coffee.

Starbucks has blown competition out of the water with the innovation that they have mastered. Innovation is a word used to explain a new way of doing things and when Starbucks came out with their Starbucks Card five years ago, they made a whole new way...

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